On August 17, 2021, the Sixth Circuit Court of Appeals became the first federal appellate court to hold that where nonresident plaintiffs opt into a putative collective action under the FLSA, a court may not exercise specific personal jurisdiction over claims unrelated to the defendant’s conduct in the forum state.  Canaday v. The Anthem Companies, Inc. (Case No. 20-5947) (6th Cir).  The next day, the Eighth Circuit reached the same conclusion in a separate case.  Vallone v. CJS Solutions Group, LLC, d/b/a HCI Group (Case No. 20-2874) (8th Cir). 
Continue Reading Two Federal Appellate Courts Hold that Nationwide FLSA Collective Actions Cannot Be Brought Outside of a Defendant’s Home State

In Bristol-Myers Squibb Co. v. Superior Court of California, San Francisco Cty., the U.S. Supreme Court established limitations on personal jurisdiction over non-resident defendants in “mass actions,” effectively supporting the view that plaintiffs cannot simply “forum shop” in large class and collective actions and instead must sue where the corporate defendant has significant contacts for purposes of general jurisdiction or limit the class definition to residents of the state where the lawsuit is filed.  Notably, the Supreme Court’s decision was limited to personal jurisdiction issues in state courts, which has led to a split on the question of whether, and to what extent, the Supreme Court’s analysis applies to class and collective actions pending in federal court. 
Continue Reading District Courts Are Divided On Whether Bristol-Myers Extends to the Federal Class Action Context